Happiest Minds Technologies Ltd. · NSE:HAPPSTMNDS
Happiest Minds Technologies — Q2 FY24 Earnings Presentation
23 slides from Happiest Minds Technologies's earnings presentation, Oct 17, 2023
Slide 1: Exchange filing letter: Earnings Presentation Q2 FY24
Happiest Minds Technologies Limited Regd. Office: #53/1-4, Hosur Main Road, Madivala, Bengaluru-560068, Karnataka, India CIN of the Co. L72900KA2011PLC057931 P: +91 80 6196 0300, F: +91 80 6196 0700 Website: www.happiestminds.com Email: investors@happiestminds.com October 17, 2023 Listing Compliance
Slide 2: Investor Presentation & Fact Sheet: Q2 FY 24
Investor Presentation & FACT SHEET: Q2 FY 24 October 2023
Slide 3: About Happiest Minds
About Happiest Minds Next-Gen Digital Transformation, Infrastructure, Security and Product Engineering Services Company Active Clients Digital Agile RoCE1 57 Fortune2000 / Forbes200 Billion $ Corporations RoE 88% Repeat Business Mission Statement Great Place To Work R India’s Best Workplaces™ in Hea
Slide 4: Mission, Vision and Values
Mission, Vision and Values Our 2021-31 Vision - DELiGHT Our SMILES Values Sharing Design for Perpetuity ESG Excellence Mindful Our Mission Integrity Thought Leadership Happiest People Happiest Customers Learning Profitable Growth Ambassador for Happiness Excellence World Class Team Social Responsibi
Slide 5: Focus on Disruptive Technologies
Focus on Disruptive Technologies Artificial Intelligence Cloud & Analytics Internet of Things (IoT) Enterprise Digital Security Transformation Next Gen. Product & Platform Engineering DevOps BPM, RPA & Agile and Secure Low-Code Platforms Infrastructure Blockchain/ Metaverse Web 3.0 Hi-Tech EdTech BF
Slide 6: Born Digital. Born Agile The Mindful IT Company
Born Digital . Born Agile The Mindful IT Company CREATING MINDFULLY DIGITAL CAPITAL AGILE Business Agile Transformation Organization Business Agile Insights Business Platformize & Agile Modernize Delivery Reimagining Engineering & Operational Customer Experience Excellence © Confidential – www.happi
Slide 7: Recent client wins
For a large and global For a global fabless For a large utilities For a multibillion-dollar For an industrial internet online retailer and semiconductor company company in the United enterprise in the energy platforms provider hyperscaler, Happiest specializing in 5G and States, this new win entails
Slide 8: Awards and analyst mentions
Top 50 India’s Best Happiest Minds’ work for ‘Cybersecurity Champion of ‘IBM THINK Partner Excellence Workplaces for DoubleVerify has been recognized the Year’ at 100 CISO Forum – Award (Top Partner)’ Women™ 2023 by ISG as Standout in the 2022 Summit & Awards 2023, Dubai Trailblazers of 2023 Digital
Slide 9: Operational and Financial Metrics – Q2 FY24
Operational and Financial Metrics – Q2 FY24 www.happiestminds.com
Slide 10: Results Q2 FY 24
Results Q2 FY 24 A ll amo unts in ₹ Lakhs unless stated o therwise Particulars Q2 FY 24 Q1 FY 24 QoQ Q2 FY 23 YoY HY 24 HY 23 YoY Revenues 40,662 39,087 4.0% 35,551 14.4% 79,749 68,443 16.5% Other Income 2,221 1,366 - 382 - 3,587 486 - Total Income 42,883 40,453 6.0% 35,933 19.3% 83,336 68,929 20.9%
Slide 11: Born Digital. Born Agile
Born Digital. Born Agile Digital Agile % of Revenue % of Revenue 93.9% 93.4% 93.6% 93.3% 94.0% 94.0% 94.2% 94.3% 96.8% 96.5% 96.4% 96.8% 96.5% 96.3% 95.1% 95.3% FY 21 FY 22 FY 23 Q2 23 Q3 23 Q4 23 Q1 24 Q2 24 FY 21 FY 22 FY 23 Q2 23 Q3 23 Q4 23 Q1 24 Q2 24 Revenue Revenue by BU Tenure of Customer To
Slide 12: Operational & Financial Metrics: EBITDA and FCF
Operational & Financial Metrics EBITDA High FCF Conversion (₹ Lakhs) Margin % (₹ Lakhs) 26.2% 96.0% 98.6% 26.1% 37,997 99.6% 36,480 98.2% 27.0% 98.4% 29,477 29,064 90.9% 95.8% 98.8% 26.3% 26.0% 26.0% 25.5% 24.4% 21,573 21,476 10,062 10,299 10,482 9,946 10,133 10,296 9,434 9,726 8,580 9,315 FY 21 FY
Slide 13: Operational & Financial Metrics: Employees and Utilization
Operational & Financial Metrics Happiest Minds & Utilization 79.5% 80.5% 80.6% 80.1% 78.5% 74.6% 74.6% 75.6% 4,917 4,917 5,048 5,285 4,168 4,581 4,611 3,228 FY 21 FY 22 FY 23 Q2 23 Q3 23 Q4 23 Q1 24 Q2 24 Offshore / Onsite Voluntary Attrition % 1 By Number of Employees 22.7% 23.5% 19.8% 20.9% 19.8%
Slide 14: Operational & Financial Metrics: Revenue Model and Concentration
Operational & Financial Metrics Revenue Model Q2 24 Model Geography Digital Revenue1 Vertical1 4.7% 3.8% 3.7% 6.3% 4.0% 15.7% 25.0% 25.1% 12.9% 7.6% 42.3% 9.0% 9.3% 10.3% 74.9% 71.5% 14.2% 13.8% 27.1% 11.6% 7.2% T&M FP Americas Europe India ROW Digital Infra / Cloud SAAS Security Edu Tech HiTech (ot
Slide 15: Operational & Financial Metrics: Onsite/Offshore and Revenue per Customer
Operational & Financial Metrics Onsite/Offshore Average Revenue / Active Customer By Revenue (USD ‘000) 803 812 803 804 794 793 774 634 81.0% 84.5% 84.1% 83.9% 84.8% 84.7% 84.8% 85.1% 19.0% 15.5% 15.9% 16.1% 15.2% 15.3% 15.2% 14.9% FY 21 FY 22 FY 23 Q2 23 Q3 23 Q4 23 Q1 24 Q2 24 FY 21 FY 22 FY 23 Q2
Slide 16: Operational & Financial Metrics: Industry and Service Mix
Operational & Financial Metrics FY21 FY 22 FY23 Q2 FY23 Q3 FY23 Q4 FY 23 FY24 Q1 FY24 Q2 Customer Industry group Edutech 25.6% 23.2% 23.8% 23.2% 22.2% 23.2% 24.1% 25.0% Hitech 18.2% 15.8% 16.6% 15.7% 19.5% 16.9% 14.8% 14.2% BFSI 16.4% 13.2% 14.2% 10.3% 10.8% 12.2% 11.0% 10.3% Travel, Media and Enter
Slide 17: Operational & Financial Metrics: Geography and Customers
Operational & Financial Metrics FY 21 FY 22 FY23 Q2 FY23 Q3 FY23 Q4 FY 23 FY24 Q1 FY24 Q2 Revenue by Geo USA 73.4% 66.4% 67.9% 67.5% 70.5% 68.1% 71.9% 71.5% India 11.8% 14.1% 16.1% 15.4% 15.0% 15.6% 15.5% 15.7% Europe 10.4% 10.4% 9.3% 9.4% 9.4% 9.7% 8.7% 9.0% ROW 4.4% 9.0% 6.7% 7.7% 5.1% 6.6% 3.9% 3
Slide 18: Operational & Financial Metrics: DSO, EPS, Capital Ratios
Operational & Financial Metrics FY21 FY22 FY23 Q2 FY23 Q3 FY23 Q4 FY23 FY24 Q1 FY24 Q2 Happiest Minds Onsite 166 172 210 228 227 227 244 231 Offshore 3,062 3,996 4,371 4,383 4,690 4,690 4,804 5,054 Onsite % 5.1% 4.1% 4.6% 4.9% 4.6% 4.6% 4.8% 4.4% Offshore % 94.9% 95.9% 95.4% 95.1% 95.4% 95.4% 95.2%
Slide 19: Operational & Financial Metrics: Revenue by BU
Operational & Financial Metrics All figures in ₹ Lakhs FY21 FY22 FY23 Q2 FY23 Q3 FY23 Q4 FY23 FY24 Q1 FY24 Q2 Revenue by BU IMSS 16,421 20.6% 24,168 21.4% 7,902 22.0% 7,912 21.1% 7,525 19.5% 30,694 21.2% 7,516 18.6% 7,381 17.2% DBS 21,288 26.7% 32,891 29.1% 10,722 29.8% 11,266 30.1% 11,180 28.9% 43,
Slide 20: Summary Profit & Loss Statement
Summary Profit & Loss Statement All figures in ₹ Lakhs FY 21 FY 22 FY 23 Q2 FY 23 Q3 FY 23 Q4 FY 23 FY 24 Q1 FY 24 Q2 Income Operating revenue 77,341 1,09,365 35,551 36,688 37,798 1,42,929 39,087 40,662 Other income 2,424 3,710 382 780 845 2,111 1,366 2,221 Total income 79,765 1,13,075 35,933 37,468
Slide 21: Balance Sheet
All figures in ₹ Lakhs 31.03.2021 31.03.2022 30.09.2022 31.12.2022 31.03.2023 30.06.2023 30.09.2023 Assets Non-current Assets Property, plant and equipment 69 78 12,894 12,899 13,278 13,202 13,386 Goodwill 7,644 7,896 8,430 8,562 13,913 13,901 13,997 Financial & Other assets 10,029 11,788 34,347 77,
Slide 22: Global Presence
Global Presence Headquarters – Bengaluru India | USA & Canada | Europe & UK | UAE | Australia © Confidential – www.happiestminds.com 21
Slide 23: investors@happiestminds.com
investors@happiestminds.com India | United States | United Kingdom | Canada | Australia | Dubai www.happiestminds.com
Happiest Minds Technologies — Q2 FY24 Earnings Presentation on 6ix